Form 6-K

6-K 1 d22019d6k.htm FORM 6-K Form 6-K

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 6-K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16 UNDER

THE SECURITIES EXCHANGE ACT OF 1934

For the month of August 2020

Commission File Number: 001-31811

Woori Financial Group Inc.

(Translation of registrant’s name into English)

51, Sogong-ro, Jung-gu, Seoul, 04632, Korea

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F ☒ Form 40-F ☐

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ☐

Note: Regulation S-T Rule 101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely to provide an attached annual report to security holders.

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ☐

Note: Regulation S-T Rule 101(b)(7) only permits the submission in paper of a Form 6-K if submission to furnish a report or other document that the registration foreign private issuer must furnish and make public under the laws of the jurisdiction in which the registrant is incorporated, domiciled or legally organized (the registrant’s “home country”), or under the rules of the home country exchange on which the registrant’s securities are traded, as long as the report or other document is not a press release, is not required to be and has not been distributed to the registrant’s security holders, and if discussing a material event, has already been the subject of a Form 6-K submission or other Commission filing on EDGAR.

Index


1.		Summary of 2020 1H Business Report

2.		Exhibit 99.1 Woori Financial Group Review Report for 2020 1H (Consolidated)

3.		Exhibit 99.2 Woori Financial Group Review Report for 2020 1H (Separate)

Summary of 2020 First Half Business Report

Table of Contents


I.	INTRODUCTION OF THE COMPANY		5

	1.	Overview of the Company	5

	2.	Capital Structure (Changes in Capital)	7

	3.	Total Number of Authorized Shares	7

	4.	Voting Rights	8

	5.	Dividend Information	8

II.	BUSINESS OVERVIEW		9

	1.	Results of Operations	9

	2.	Funding Sources and Uses of Funds	9

	3.	Other Information Necessary for Making Investment Decisions	11

III.	FINANCIAL INFORMATION		15

	1.	Condensed Financial Statements (Consolidated)	15

	2.	Condensed Financial Statements (Separate)	17

IV.	INDEPENDENT AUDITOR’S OPINION		19

	1.	Independent Auditor’s Opinion	19

	2.	Compensation to the Independent Auditor	19

V.	CORPORATE GOVERNANCE AND AFFILIATED COMPANIES		21

	1.	About the Board of Directors	21

	2.	Affiliated Companies (As of June 30, 2020)	22

VI.	SHAREHOLDER INFORMATION		23

	1.	Share Distribution	23

	2.	Stock Price and Stock Market Performance	24

VII.	DIRECTORS AND EMPLOYEE INFORMATION		26

	1.	Directors and Executives	26

	2.	Employee Status	27

	3.	Directors’ Compensation	27

Except where indicated otherwise, financial information contained in this document (including the attached financial statements) has been prepared in accordance with the Korean equivalent of International Financial Reporting Standards (“Korean IFRS”), which differ in certain important respects from generally accepted accounting principles in the United States.

All references to “Woori Financial Group,” “we,” “us” or the “Company” are to Woori Financial Group Inc. and, unless the context requires otherwise, its subsidiaries. In addition, all references to “Won” or “KRW” in this document are to the currency of the Republic of Korea.

I.	Introduction of the Company

1.	Overview of the Company

a.	History


		January 11, 2019		Establishment of the Company pursuant to a comprehensive stock transfer, by which Woori Bank, Woori FIS, Woori Finance Research Institute, Woori Credit Information, Woori Fund Services and Woori Private Equity Asset Management became wholly-owned subsidiaries of the Company.

		February 13, 2019		Listed on the Korea Exchange (KRX).

		April 5, 2019		Entered into share purchase agreements to acquire Tongyang Asset Management Corp. and ABL Global Asset Management Co., Ltd.

		June 21, 2019		Entered into a purchase agreement with Woori Bank to acquire the common shares of Woori Investment Bank Co., Ltd. (“Woori Investment Bank”) and integrate Woori Investment Bank as a first-tier subsidiary of the Company (Buyer: Woori Financial Group, Seller: Woori Bank)

		July 3, 2019		Entered into a stock exchange agreement between the Company and Woori Card Co., Ltd (“Woori Card”) to integrate Woori Card as a first-tier subsidiary of the Company

		July 25, 2019		Entered into a share purchase agreement to acquire Kukje Asset Trust, Ltd.

		August 1, 2019		Integrated Woori Asset Management Corp. (formerly known as Tongyang Asset Management Co., Ltd.) as a first-tier subsidiary of the Company.

		September 10, 2019		Integrated Woori Card and Woori Investment Bank as first-tier subsidiaries of the Company.

		September 26, 2019		Disposed 4% of common shares of the Company held by Woori Bank to a Taiwanese company, Fubon Life Insurance Co., Ltd.

		December 6, 2019		Integrated Woori Global Asset Management Corp. as a first-tier subsidiary of the Company

		December 30, 2019		Integrated Woori Asset Trust Ltd., as a first-tier subsidiary of the Company

		March 25, 2020		Held the first annual general meeting of shareholders of Woori Financial Group; reappointed the Chief Executive Officer

b.	Affiliated Companies

(1)

Overview of Business Group

Name of business group: Woori Financial Group Inc.

(2)

Affiliated companies within the business group

As of June 30, 2020


Type	Name of Company	(Controlling Company)
Company	Woori Financial Group	—
FirstTier Subsidiaries (11 companies)	Woori Bank (equity ownership 100.0%)	Woori Financial Group
	Woori Card (equity ownership 100.0%)
	Woori Investment Bank (equity ownership 59.83%)
	Woori FIS (equity ownership 100.0%)
	Woori Finance Research Institute (equity ownership 100.0%)
	Woori Credit Information (equity ownership 100.0%)
	Woori Fund Services (equity ownership 100.0%)
	Woori Asset Trust (equity ownership 51.0)%
	Woori Asset Management (equity ownership 73.0%)
	Woori Private Equity Asset Management (equity ownership 100.0%)
	Woori Global Asset Management (equity ownership 100.0%)
SecondTier Subsidiaries (14 companies)	Korea BTL Infrastructure Fund (equity ownership 99.88%)	Woori Bank
	Woori America Bank (equity ownership 100.0%)
	Woori Bank China Limited (equity ownership 100.0%)
	PT. Bank Woori Saudara Indonesia (equity ownership 79.88%)
	AO Woori Bank (equity ownership 100.0% - 1 share)
	Banco Woori Bank do Brazil S.A. (equity ownership 100.0% - 1 share)
	WB Finance Co., Ltd (Cambodia) (equity ownership 100.0%)
	Woori Finance Myanmar (equity ownership 100.0%)
	Woori Wealth Development Bank (equity ownership 51%)
	Woori Bank Vietnam Limited (equity ownership 100.0%)
	Woori Bank Europe Gmbh (equity ownership 100.0%)
	Woori Global Markets Asia Limited (equity ownership 100.0%)
	Tutu Finance-WCI Myanmar (equity ownership 100.0%)	Woori Card
	Woori-Hanwha Eureka Private Equity Fund (equity ownership 0.80%)	Woori Private Equity Asset Management

Note	1) Listed Companies : Woori Financial Group, Woori Investment Bank and PT. Bank Woori Saudara Indonesia

2.	Capital Structure (Changes in Capital)

As of June 30, 2020

(units: Won, shares)

Stock Decrease/Increase

Date

Category

Type

Quantity

Par
Value

Issue
price

Note

January 11, 2019

—

Common

680,164,306

5,000

26,415

Establishment

(comprehensive stock transfer)

September 10,

2019

—

Common

42,103,377

5,000

12,350

Comprehensive stock exchange

Stock increase ratio: 6.19018%

Note 1) Due to Woori Financial Group’s establishment through a comprehensive stock transfer, the issue price was calculated by dividing the total equity from its financial statements at the time of establishment (KRW 17,966,458,911,689) by the total number of issued shares (680,164,306).

Note 2) Our capital in 2019 3Q changed due to the comprehensive stock exchange. The issue price is based on the closing stock price of the comprehensive stock exchange date.

3.	Total Number of Authorized Shares


As of June 30, 2020					(unit: shares)
Items	Type				Notes
Items	Common Shares		Total		Notes
Number of authorized shares		4,000,000,000		4,000,000,000
Number of issued shares		722,267,683		722,267,683		Note 1	)
Number of treasury shares		2		2		Note 2	)
Number of outstanding shares		722,267,681		722,267,681

Note 1) New common shares of 42,103,377 were issued on September 10, 2019 due to the small scale stock exchange between Woori Financial Group and Woori Card.

Note 2) Acquired from the issuance of fractional shares

4.	Voting Rights


As of June 30, 2020	(unit: shares)
Items			Number of shares		Notes
Number of issued shares		Common Shares		722,267,683		—
Number of issued shares		Preferred Shares		—		—
Number of shares without voting rights		Common Shares		2		Note 1	)
Number of shares without voting rights		Preferred Shares		—		—
Number of shares for which voting rights are excluded pursuant to the articles of incorporation		Common Shares		—		—
		Preferred Shares		—		—
Number of shares for which voting rights are limited by law		Common Shares		11,669,295		Note 2	)
Number of shares for which voting rights are limited by law		Preferred Shares		—		—
Number of shares for which voting rights have been restored		Common Shares		—		—
Number of shares for which voting rights have been restored		Preferred Shares		—		—
Number of shares for which voting rights may be exercised		Common Shares		710,598,388		—
Number of shares for which voting rights may be exercised		Preferred Shares		—		—

Note 1) Acquired treasury shares from the issuance of fractional shares (based on Article 369 of the Commercial Act).

Note 2) Pursuant to Article 8-2 of the Financial Holding Company Act, a non-financial business operator is restricted from exercising voting rights in excess of 4% of the total number of outstanding voting shares of a financial holding company.

5.	Dividend Information

Woori Financial Group was established on January 11, 2019.


Items		2020 1H		2019		2018
Par value per share (Won)			—		5,000		—
Net profit (Millions of Won)			—		1,872,207		—
Earnings per share (Won)			—		2,727
Total cash dividends (Millions of Won)			—		505,587		—
Total stock dividends (Millions of Won)			—		—		—
Cash dividend payout ratio (%)			—		27.00		—
Cash dividend yield (%)	Common Shares		—		5.8		—
Cash dividend yield (%)	Preferred Shares		—		—		—
Stock dividend yield (%)	Common Shares		—		—		—
Stock dividend yield (%)	Preferred Shares		—		—		—
Cash dividend per share (Won)	Common Shares		—		700		—
Cash dividend per share (Won)	Preferred Shares		—		—		—
Stock dividend per share (Share)	Common Shares		—		—		—
	Preferred Shares		—		—		—

Note 1) There were no board resolutions regarding dividends during 2020 1H.

II.

Business Overview

1.	Results of Operations


As of June 30, 2020	(unit: billions of Won)

Type	2020 1H		2019		2018
Operating income		1,173		2,800		—
Non-operating income		-139		-77		—
Income from continuing operations before income tax		1,034		2,723		—
Income tax expense from continuing operations		260		685		—
Income from discontinued operations		—		—		—
Net income		774		2,038		—
Controlling Interest		661		1,872
Non-controlling Interest		113		165

Note 1) Based on K-IFRS consolidated financial statements

2.	Funding Sources and Uses of Funds

a.	Sources of Funds


For the periods indicated other than as noted below								(units: millions of Won, %)
Classification	Funding Source	2020 1H						2019
Classification	Funding Source	Average Balance		Interest Rate		Proportion		Average Balance		Interest Rate		Proportion
Source	Deposits		258,068,563		1.24		71.26		249,106,401		1.51		71.14
	Borrowings		19,506,526		1.61		5.39		18,013,074		1.92		5.14
	Debentures		31,331,411		2.36		8.65		30,401,987		2.56		8.68
	Others		27,550,822				7.61		28,928,780		—		8.26
	Total Liabilities		336,457,321				92.91		326,449,882		—		93.23
Total Equity			25,683,004				7.09		23,703,431		—		6.77
Total Liabilities & Equity			362,140,325				100.00		350,153,313		—		100.00

Note 1) 2020 1H Average Balance: average of balances as of December 31, 2019, March 31, 2020 and June 30,2020.

2019 Average Balance: average of balances as of March 31, 2019, June 30, 2019, September 30, 2019 and December 31, 2019.

Note 2) Based on K-IFRS consolidated financial statements

b. Use of Funds


For the periods indicated other than as noted below						(units: millions of Won, %)
Type	Managed Item	2020 1H						2019
Type	Managed Item	Average Balance		Interest Rate		Proportion		Average Balance		Interest Rate		Proportion
Use	Cash & Due from Banks		11,628,729		0.57		3.21		9,202,054		1.55		2.63
	Marketable securities		54,146,360		1.99		14.95		50,396,362		2.29		14.39
	Loans		261,945,510		3.18		72.33		254,691,201		3.48		72.74
	Loans in local currency		226,278,644		2.91		62.48		219,418,214		3.22		62.66
	Loans in foreign currency		22,413,640		4.31		6.19		20,982,894		4.59		5.99
	Guarantee payments		11,527		8.23		0.00		12,410		1.48		0.00
	Credit card receivables		8,063,083		8.06		2.23		8,139,789		7.98		2.32
	Foreign bills bought		5,178,617		2.29		1.43		6,137,894		2.96		1.75
	Bad debt expense in local currency (-)		-1,638,965				-0.45		-1,666,215		—		-0.48
	Other		36,058,691				9.96		37,529,911		—		10.72
Total Assets			362,140,325				100.00		350,153,313		—		100.00

Note 1) 2020 1H Average Balance: average of balances as of December 31, 2019, March 31, 2020 and June 30, 2020.

2019 Average Balance: average of balances as of March 31, 2019, June 30, 2019, September 30, 2019 and December 31, 2019.

Note 2) Based on K-IFRS consolidated financial statements

3.	Other Information Necessary for Making Investment Decisions

a.	Selected Ratios

Group BIS Capital Adequacy Ratios


As of the end of the period indicated	(units: billions of Won, % )
Type	2020 1H		2019
Equity capital (A)		27,352		27,115
Risk weighted assets (B)		214,815		228,046
BIS(Capital adequacy) ratio (A/B)		12.73		11.89

Note 1) BIS (Bank for International Settlements) Capital Adequacy Ratios : Equity capital / Risk weighted assets * 100

Note 2) Based on K-IFRS consolidated financial statements and Basel III standards

Figures of Affiliated Companies


As of the end of the periods indicated					(units: 100 millions of Won, % )
Name of Company	Type		2020 1H		2019		2018
Woori Bank	BIS ratio	Equity capital (A)		253,719		243,142		242,508
		Risk weighted assets (B)		1,714,652		1,578,895		1,549,710
		Capital adequacy ratio (A/B)		14.80		15.40		15.65
Woori Card	Adjusted capital ratio			19.97		18.33		18.08
Woori Card	Tangible common equity ratio			13.84		14.29		13.54
Woori Investment Bank	BIS ratio	Equity capital (A)		3,680		3,381		3,003
		Risk weighted assets (B)		30,069		26,303		23,192
		Capital adequacy ratio (A/B)		12.24		12.86		12.95
Woori Asset Trust	Operating capital ratio			1,182.00		1,397.97		957.76
Woori Asset Management	Minimum operating capital ratio			709.36		655.8		558.9

Note 1) BIS (Bank for International Settlements) Capital Adequacy Ratio : Equity capital / Risk weighted assets * 100

Note 2) Figures for Woori Bank are based on K-IFRS consolidated financial statements and Basel III standards

Note 3) Figures for Woori Card are based on the applicable standards for business reports submitted to the Financial Supervisory Service

Note 4) Figures for Woori Investment Bank are based on the applicable standards for business reports submitted to the Financial Supervisory Service and our K-IFRS consolidated financial statements

Note 5) Figures for Woori Asset Trust are based on K-IFRS separate financial statements

Note 6) Figures for Woori Asset Management are based on K-IFRS separate financial statements

Note 7) 2020 1H figures are estimates only and are subject to change

Won Liquidity Ratios


As of the end of the periods indicated													(units: millions of Won, % )
Type	2020 1H						2019						2018
Type	Won Liquidity Assets		Won Liquidity Liabilities		Won Liquidity Ratio		Won Liquidity Assets		Won Liquidity Liabilities		Won Liquidity Ratio		Won Liquidity Assets		Won Liquidity Liabilities		Won Liquidity Ratio
Woori Financial Group Note 1)		79,538		2,078		3,827.6		45,079		7,475		603.1		—
Woori Card Note 2)		6,283,500		1,574,185		399.2		5,976,031		1,407,335		424.6		6,055,752		1,349,874		448.6
Woori Investment Bank Note 2)		1,989,498		945,697		210.4		1,671,823		1,118,318		149.5		1,183,476		444,475		266.3
Woori Asset Trust Note 3)		87,421		11,517		759.07		67,555		14,595		462.9		61,161		9,411		649.9

Note 1) Based on current assets and liabilities within one month of maturity.

Note 2) Based on current assets and liabilities within 90 days of maturity.

Note 3) Based on K-IFRS separate financial statements as well as current assets and liabilities within 90 days of maturity.

Foreign Currency (FC) Liquidity Ratios

As of the end of the periods indicated

(units: millions of Won, % )

Type

2020 1H

2019

2018

FC
Liquidity
Assets

FC
Liquidity
Liabilities

FC
Liquidity
Ratio

FC
Liquidity
Assets

FC
Liquidity
Liabilities

FC
Liquidity
Ratio

FC
Liquidity
Assets

FC
Liquidity
Liabilities

FC
Liquidity
Ratio

Woori Investment Bank

Note 1)

38,752

—

38,111

34,734

109.7

82,633

78,104

105.8

Note 1) Based on current assets and liabilities within three months of maturity.

Liquidity Coverage Ratios


						(unit: % )
Name of Company	Type	2020 1H		2019		2018
Woori Bank	Liquidity coverage ratio Note 1)		104.45		107.27		103.40
	Foreign currency liquidity coverage ratio Note 2)		115.02		110.50		108.98
	Ratio of business purpose premises and equipment		11.48		12.22		12.34

Note 1) Method of calculation based on business disclosure (average of daily ratios for business days in a quarter), periods applicable are 2020 2Q, 2019 4Q and 2018 4Q

-	Under the [Plans for Temporary Easing of Financial Regulations in Response to COVID-19] announced by the Financial Services Commission, the liquidity coverage ratio requirement for banks has been reduced from 100% to 85% until the end of September 2020.

Note 2) Implemented in January 2017 (increased 10% annually; current minimum ratio is 80% in 2019); method of calculation of average LCR based on business disclosure

Periods applicable are 2020 2Q, 2019 4Q and 2018 4Q; foreign currency liquidity coverage ratio for each month during the current quarter : April : 121.04%, May : 110.82%, June: 113.80%

Profitability Ratios


												(unit: % )
Type	2020 1H				2019				2018
Type	ROA		ROE		ROA		ROE		ROA		ROE
Woori Financial Group Note 1)
Including non-controlling interests		0.41		7.08		0.57		10.11		—
Excluding non-controlling interests		0.35		6.04		0.52		9.29		—
Woori Bank Note 2)		0.38		5.86		0.55		8.36		0.60		8.82
Woori Card Note 2)		1.13		6.14		0.90		5.05		0.72		4.00
Woori Investment Bank Note 2)		1.58		13.73		1.69		13.66		1.30		10.49
Woori Asset Trust Note 3)		27.08		39.01		25.18		37.40		28.73		49.43
Woori Asset Management		5.63		5.93		7.41		7.77		6.06		6.32

Note 1) On an annualized basis based on the applicable standards for financial holding company business reports submitted to the Financial Supervisory Service. Average Balance of total assets and equity calculated by averaging the balances at the beginning and end of each quarter (2019: March 31, 2019, June 30, 2019, September 30, 2019 and December 31, 2019).

Note 2) Based on the applicable standards for business reports submitted to the Financial Supervisory Service

Note 3) Non-consolidated basis: total assets and total equity are average balances of end of previous year end and each quarter ending balances.

Group Asset Quality


	(units: billions of Won, % )
Type	2020 1H		2019		2018
Total loans		278,661		266,432		—
Substandard and below loans		1,205		1,198		—
Substandard and below ratio		0.43		0.45		—
Non-Performing Loans		1,102		1,068		—
NPL Ratio		0.40		0.40		—
Substandard and below coverage ratio (A/B)		142.4		133.6		—
Loan Loss reserve (A)		1,716		1,600		—
Substandard and below loans (B)		1,205		1,198		—

Note 1) Based on the applicable standards for financial holding company business reports submitted to the Financial Supervisory Service

Asset Quality for Significant Subsidiaries and Consolidated Companies


																	(units: % )
Type	2020 1H						2019						2018
Type	Substandard and below ratio		NPL ratio		Substandard and below coverage ratio		Substandard and below ratio		NPL ratio		Substandard and below coverage ratio		Substandard and below ratio		NPL ratio		Substandard and below coverage ratio
Woori Bank		0.38		0.36		136.42		0.40		0.36		121.80		0.51		0.43		119.42
Woori Card		0.69		—		102.85		0.80		—		102.84		0.80		—		104.02
Woori Investment Bank		0.52		0.30		145.30		0.49		0.21		167.39		1.51		1.49		51.21
Woori Asset Trust		46.31		—		—		37.51		—		—		10.52		—		—

Note 1) Based on the applicable standards for company business reports submitted to the Financial Supervisory Service

III.

Financial Information

1.	Condensed Financial Statements (Consolidated)

Summary Consolidated Statement of Financial Position


(The Company and its Consolidated Subsidiaries, as of the end of the periods indicated)				(unit: millions of Won)
Classification	2020 1H			2019			2018
ASSETS
Cash and cash equivalents		9,437,619			6,392,566			6,747,894
Financial assets at fair value through profit or loss (“FVTPL”)		10,067,062			8,069,144			6,126,316
Financial assets at fair value through other comprehensive income		29,612,408			27,730,531			18,063,423
Securities at amortized cost		18,610,602			20,320,539			22,932,559
Loans and other financial assets at amortized cost		306,418,069			293,717,693			282,457,578
Investments in joint ventures and associates		928,161			806,360			361,766
Investment properties		312,806			280,239			378,196
Premises and equipment		3,311,009			3,364,716			2,450,492
Intangible assets		820,380			844,110			597,520
Assets held for sale		9,614			10,556			17,912
Net defined benefit asset		—			2,582			—
Current tax assets		39,230			47,367			20,730
Deferred tax assets		39,440			39,544			59,641
Derivative assets (designated for hedging)		249,880			121,131			35,503
Other assets		221,096			233,646			197,653

Total assets		380,077,376			361,980,724			340,447,183

LIABILITIES
Financial liabilities at FVTPL		4,031,235			2,958,302			2,282,686
Deposits due to customers		276,967,229			264,685,578			248,690,939
Borrowings		21,263,126			18,998,920			16,202,986
Debentures		31,029,872			30,858,055			28,735,862
Provisions		551,389			443,980			391,313
Net defined benefit liability		146,325			92,470			173,109
Current tax liabilities		102,278			182,690			159,078
Deferred tax liabilities		200,263			134,322			18,156
Derivative liabilities (designated for hedging)		15,022			6,837			51,408
Other financial liabilities		19,635,458			17,706,767			21,442,524
Other liabilities		383,491			420,471			346,078

Total liabilities		354,325,688			336,488,392			318,494,139

EQUITY
Owners’ equity:		22,301,193			21,510,370			21,739,931
Capital stock		3,611,338			3,611,338			3,381,392
Hybrid securities		1,695,821			997,544			3,161,963
Capital surplus		627,625			626,295			285,889
Other equity		(2,285,790	)		(2,249,322	)		(2,213,970	)
Retained earnings		18,652,199			18,524,515			17,124,657
Non-controlling interests		3,450,495			3,981,962			213,113

Total equity		25,751,688			25,492,332			21,953,044

Total liabilities and equity		380,077,376			361,980,724			340,447,183

Number of Consolidated Subsidiaries (excluding holding company)		104			102			65

Summary Consolidated Statement of Comprehensive Income


(The Company and its Consolidated Subsidiaries, for the periods indicated)	(unit: millions of Won, except per share amounts)
Classification	2020 1H			2019 1H			2019			2018
Operating income		1,172,598			1,710,412			2,799,976			2,759,301
Net interest income		2,940,849			2,931,052			5,893,706			5,650,951
Net fees and commissions income		498,349			560,090			1,102,628			1,069,974
Dividend income		71,002			64,583			107,959			90,552
Net gain or loss on financial instruments at FVTPL (fair value through profit or loss)		401,589			80,081			25,455			214,443
Net gain or loss on financial assets at FVTOCI		11,027			3,445			11,015			2,047
Net gain on disposals of financial assets at amortized cost		32,662			94,619			102,115			79,532
Impairment losses due to credit loss		(446,679	)		(136,546	)		(374,244	)		(329,574	)
General and administrative expenses		(1,789,558	)		(1,695,786	)		(3,766,077	)		(3,624,033	)
Other net operating income (expenses)		(546,643	)		(191,126	)		(302,581	)		(394,591	)

Non-operating income(expense)		(138,749	)		17,670			(76,927	)		45,571

Net income before income tax expense		1,033,849			1,728,082			2,723,049			2,804,872

Income tax expense		259,816			456,119			685,453			753,223

Net income		774,033			1,271,963			2,037,596			2,051,649

Net income attributable to owners		660,564			1,179,688			1,872,207			2,033,182
Net income attributable to the non-controlling interests		113,469			92,275			165,389			18,467
Other comprehensive income (loss), net of tax		(9,167	)		68,498			51,782			(92,236	)
Items that will not be reclassified to profit or loss		(121,454	)		(86,645	)		(92,777	)		(115,384	)
Items that may be reclassified to profit or loss		112,287			155,143			144,559			23,148

Total comprehensive income		764,866			1,340,461			2,089,378			1,959,413

Comprehensive income attributable to the owners		648,420			1,240,153			1,914,393			1,943,885
Comprehensive income attributable to non-controlling interests		116,446			100,308			174,985			15,528
Net income per share:
Basic and diluted loss per share (in Korean Won)		887			1,755			2,727			2,796

2.	Condensed Financial Statements (Separate)

Summary Statement of Financial Position


(The Company, as of the end of the period indicated)	(unit: millions of Won)
Classification	2020 1H			2019
ASSETS
Cash and cash equivalents		129,525			43,670
Financial assets at fair value through profit or loss		9,434			9,434
Financial assets at fair value through other comprehensive income		150,265			—
Loans and other financial assets at amortized cost		761,795			1,269,203
Investments in subsidiaries		20,873,593			19,873,593
Premises and equipment		9,384			7,383
Intangible assets		5,609			3,310
Other assets		15			—

Total assets		21,939,620			21,206,593

LIABILITIES
Debentures		947,789			947,679
Provisions		714			600
Net defined benefit liability		7,566			3,482
Current tax liabilities		57,554			133,526
Deferred tax liabilities		921			154
Other financial liabilities		9,860			10,745
Other liabilities		323			4,142

Total liabilities		1,024,727			1,100,328

EQUITY
Capital stock		3,611,338			3,611,338
Hybrid securities		1,695,821			997,544
Capital surplus		14,874,084			14,874,084
Other equity		(1,400	)		(631	)
Retained Earnings		735,050			623,930

Total equity		20,914,893			20,106,265

Total liabilities and equity		21,939,620			21,206,593

Summary Statement of Comprehensive Income


(The Company, for the period indicated)	(unit: millions of Won, except per share amounts)
Classification	2020 1H			2019 1H			2019
Operating Income:		638,150			647,624			629,437
Net interest income		(3,332	)		(354	)		40
Interest income		7,699			509			7,741
Interest expense		11,031			863			7,701
Net fees and commissions loss		(8,168	)		(7,412	)		(15,833	)
Fees and commissions income		—			—			—
Fees and commissions expense		8,168			7,412			15,833
Dividend income		677,795			676,000			676,000
Net gain on financial instruments at FVTPL		—			—			9,434
Impairment losses due to credit loss		9			—			(263	)
General and administrative expenses		(28,154	)		(20,610	)		(39,941	)
Non-operating loss		(20	)		(600	)		(750	)
Net Income before income tax expense		638,130			647,024			628,687
Income tax expense		1,058			(407	)		(394	)

Net Income		637,072			647,431			628,293

Other comprehensive loss, net of tax		(769	)		(445	)		(631	)
Items that will not be reclassified to profit or loss		(769	)		(445	)		(631	)
Net gain on valuation of equity securities at FVTOCI		192			—			—
Remeasurement loss related to defined benefit plan		(961	)		(445	)		(631	)

Total comprehensive Income		636,303			646,986			627,662

Net Income per share:
Basic and diluted Income per share (In Korean Won)		854			952			900

IV.

Independent Auditor’s Opinion

1.	Independent Auditor’s Opinion


	2020 1H	2019	2018
Auditor	Samil PricewaterhouseCoopers	Deloitte Anjin LLC		—
Auditor’s Opinion	Note 1)	Note 2)		—

Note 1) In its review report attached to this report, Samil PricewaterhouseCoopers has stated that nothing had come to their attention that caused them to believe that the accompanying consolidated and separate interim financial statements of Woori Financial Group are not presented fairly in all material respects, in accordance with Korean IFRS.

Note 2) In its audit report, Deloitte Anjin LLC has stated that the financial statements are presented fairly, in all material respects, in accordance with Korean IFRS.

2.	Compensation to the Independent Auditor

a.	Audit Services

Term

Auditor

Description

Fee

Total Time

2020 1H

Samil PricewaterhouseCoopers

1H review

1Q review

KRW 1,135 million

2,505 hours

1,350 hours

2019

Deloitte Anjin LLC

Closing audit
(including internal accounting management system)

KRW 752 million

10,849 hours

Interim audit

7,074 hours

3Q review

3,366 hours

1H review

2,591 hours

1Q review

856 hours

Note 1) Total time includes planning time up until the commencement of the applicable services

b.	Other Audit Services


Term	Auditor		Description	Fee
2019		Deloitte Anjin LLC	Auditing services provided in connection with the submission of a holding company establishment report to the Fair Trade Commission		KRW 67 million

c.	Current Status of Audit Service Agreements with the Independent Auditor Relating to U.S. Listing


Term	Auditor	Description	Fee
2020	Samil PricewaterhouseCoopers	U.S. PCAOB standard audit of consolidated financial statements and internal control over financial reporting	KRW 2,280 million
2019	Deloitte Anjin LLC	U.S. PCAOB standard audit of consolidated financial statements and internal control over financial reporting	KRW 1,873 million

d.	Non-Audit Services

Term

Date of Execution
of Agreement

Description of Service

Service Term

Fees

2019

April 18, 2019

Tax adjustment (including review relating to application of consolidated tax)

April 18, 2019 ~ May 31, 2020

KRW 88 million

May 14, 2019

Issuance of agreed-upon procedure report relating to asset management company establishment registration submitted to the Financial Supervisory Service

May 14, 2019 ~ May 31, 2020

KRW 18 million

V.	Corporate Governance and Affiliated Companies

1.	About the Board of Directors

Composition of the Board of Directors

The board of directors consists of standing directors, outside directors and non-standing directors.

Committees under the Board of Directors

We currently have the following committees serving under the board of directors:

(a)

Audit Committee

(b)

Board Risk Management Committee

(c)

Compensation Committee

(d)

Committee for Recommending Executive Officer Candidates

(e)

Committee for Recommending Group Executive Officer Candidates

(f)

Committee for Internal Control Management


(As of June 30, 2020) Name of Committee	Composition	Names of Members
Audit Committee	Three outside directors	(Chairman) Chan-Hyoung Chung (outside director) Sung-Tae Ro (outside director) Dong-Woo Chang (outside director)
Board Risk Management Committee	Three outside directors One non-standing director One standing director	(Chairman) Sang-Yong Park (outside director) Dennis Chan (outside director) Zhiping Tian (outside director) Hong-Tae Kim (non-standing director) Won-Duk Lee (standing director)
Compensation Committee	Six outside directors One non-standing director	(Chairman) Chan-Hyoung Chung (outside director) Sung-Tae Ro (outside director) Sang-Yong Park (outside director) Dennis Chan (outside director) Zhiping Tian (outside director) Dong-Woo Chang (outside director) Hong-Tae Kim (non-standing director)
Committee for Recommending Executive Officer Candidates	Six outside directors	(Chairman) Dong-Woo Chang (outside director) Sung-Tae Ro (outside director) Sang-Yong Park (outside director) Chan-Hyoung Chung (outside director) Dennis Chan (outside director) Zhiping Tian (outside director)
Committee for Recommending Group Executive Officer Candidates	Six outside directors One standing director	(Chairman) Tae-Seung Son (standing director) Sung-Tae Ro (outside director) Sang-Yong Park (outside director) Chan-Hyoung Chung (outside director) Dennis Chan (outside director) Zhiping Tian (outside director) Dong-Woo Chang (outside director)
Committee for Internal Control Management	One outside director One non-standing director One standing director	(Chairman) Sang-Yong Park (outside director) Hong-Tae Kim (non-standing director) Tae-Seung Son (standing director)

2.	Affiliated Companies (As of June 30, 2020)

LOGO

VI.

Shareholder Information

1.	Share Distribution

a.	Share Information of the Largest Shareholder and Specially Related Parties

As of June 30, 2020

(units: shares, %)

Name

Relation

Type

Shares Held

Notes

Beginning balance

Ending balance

Number

Share

Number

Share

Korea Deposit

Insurance Corporation (KDIC)

Largest

Shareholder

Common

124,604,797

17.25

124,604,797

17.25

Note 1

)

Total

Common

124,604,797

17.25

124,604,797

17.25

Others

—

Note 1) Refer to ‘b. Changes in the largest shareholder’ for changes in the number and percentage of shares held by the KDIC

b.	Changes in the largest shareholder

As of June 30, 2020

(units: shares, %)

Change of Date

Largest Shareholder

Number Held

Share

Notes

January 11, 2019

Korea Deposit Insurance Corporation

124,604,797

18.32

Comprehensive Stock Transfer

(Woori Financial Group) Note 1)

September 10, 2019

Korea Deposit Insurance Corporation

124,604,797

17.25

Issuance of new common shares
(42,103,377 shares) Note 2)

Note 1) Woori Financial Group was established pursuant to a comprehensive stock transfer of Woori Bank and five other companies, and the KDIC received new shares of Woori Financial Group in accordance with the stock transfer ratio.


		transfer ratio Woori Bank : Woori Financial Group = 1: 1.0000000

Note2) Small scale stock exchange between Woori Financial Group and Woori Card.

c.	Share Ownership of More Than 5%


As of June 30, 2020	(units: shares, %)
	Name	Shares				Notes
	Name	No. of shares		Percentage of shareholding		Notes
Share ownership of more than 5%	Korea Deposit Insurance Corporation		124,604,797		17.25		—
	National Pension Service		71,378,664		9.88		1	)
	Nobis1, Inc. (IMM PE)		40,560,000		5.62		—
Employee Stock Ownership Association			53,713,148		7.44		2	)

Note 1) Shares based on publicly disclosed information on July 3, 2020

Note 2) Total shares of the employee stock ownership association of Woori Financial Group and Woori Bank

2.	Stock Price and Stock Market Performance

a.	Domestic Stock Market


												(units: Won, shares)
Period		January 2020		February 2020		March 2020		April 2020		May 2020		June 2020
Common Shares	High		11,400		10,500		9,630		8,440		9,130		10,350
	Low		10,150		9,400		6,560		7,270		7,810		8,690
	Average		10,728		10,067		7,989		7,893		8,114		9,405
Monthly Trade Volume	High		3,032,036		7,798,094		5,753,690		4,688,039		7,434,397		4,612,618
	Low		1,196,984		1,449,936		1,895,258		1,974,492		1,395,328		1,258,950
	Monthly Total		38,739,407		47,347,306		74,783,169		57,640,374		53,303,073		54,242,951

Note 1) Source: KRX KOSPI Market

Note 2) Share prices are based on closing prices.

b.	Foreign Stock Market (NYSE)


										(units: US Dollars, Won, ADSs)
Period		January 2020		February 2020		March 2020		April 2020		May 2020		June 2020
ADS	High		30.09		26.62		24.77		21.47		22.08		26.07
	Low		25.40		22.88		15.60		17.31		18.98		21.74
	Average		27.60		25.18		20.10		19.50		19.99		23.30
Won Conversion	High		34,838		31,520		29,510		26,305		27,365		31,737
	Low		30,060		27,584		19,563		21,118		23,305		26,057
	Average		32,134		30,055		24,518		23,895		24,564		28,192
Monthly Trade Volume	High		110,600		93,100		237,600		214,700		164,700		106,900
	Low		18,500		15,500		65,000		34,600		34,600		18,500
	Monthly Total		839,000		946,100		2,700,200		2,009,400		1,413,000		1,254,900

Note 1) Source: standard trading rate (daily and monthly average) (Seoul Money Brokerage, www.smbs.biz)

Note 2) One ADS represents three common shares.

Note 3) Share prices are based on closing prices.

VII.

Directors and Employee Information

1.	Directors and Executives

As of June 30, 2020

Position

Name

Common
Shares
Owned

Term
Commencement Date

Expiration of Term

Chief Executive Officer

Registered

Tae-Seung Son

83,127

January 11, 2019 ~

Note 1)

Deputy President

Registered

Won-Duk Lee

19,500

March 25, 2020 ~

Note 2)

Outside Director

Registered

Sung-Tae Ro

5,000

January 11, 2019 ~

Note 2)

Outside Director

Registered

Sang-Yong Park

1,000

January 11, 2019 ~

Note 2)

Outside Director

Registered

Chan-Hyoung
Chung

10,532

January 11, 2019 ~

Note 2)

Outside Director

Registered

Dennis Chan

—

March 25, 2020 ~

Note 3)

Outside Director

Registered

Zhiping Tian

—

January 11, 2019 ~

Note 2)

Outside Director

Registered

Dong-Woo
Chang

—

January 11, 2019 ~

Note 2)

Non-standing Director

Registered

Hong-Tae Kim

—

March 25, 2020 ~

Note 3)

Deputy President

Non-Registered

Jeong-Ki Kim

31,385

February 11, 2020 ~

December 31, 2020

Deputy President

Non-Registered

Dong-Su Choi

17,738

January 11, 2019 ~

December 31, 2020

Deputy President

Non-Registered

Kyong-Hoon
Park

17,000

January 11, 2019 ~

December 31, 2020

Deputy President

Non-Registered

Myung-Hyuk
Shin

5,000

February 11, 2020 ~

December 31, 2020

Deputy President

Non-Registered

Jin-Ho Noh

4,000

February 11, 2020 ~

December 31, 2020

Senior Managing Director

Non-Registered

Kyu-Mok
Hwang

14,239

February 11, 2020 ~

December 31, 2020

Senior Managing Director

Non-Registered

Seok-Tae Lee

16,857

February 11, 2020 ~

December 31, 2020

Senior Managing Director

Non-Registered

Seok-Young
Chung

20,951

February 11, 2020 ~

January 10, 2021

Managing Director

Non-Registered

Shin-Kook
Kang

3,000

February 11, 2020 ~

December 31, 2021

Managing Director

Non-Registered

Gyu-Soon
Hwang

4,000

February 11, 2020 ~

December 31, 2021

Managing Director

Non-Registered

Jong-Il Park

12,619

February 11, 2020 ~

December 31, 2021

Managing Director

Non-Registered

Byoung-Kwon
Woo

3,500

February 11, 2020 ~

February 10, 2022

Managing Director

Non-Registered

Sung-Wook Lee

8,000

February 11, 2020 ~

December 31, 2021

Managing Director

Non-Registered

Weong-Cheol
Hwang

2,000

July 3, 2020 ~

December 31, 2020

Note 1) Date of the 2023 annual general meeting of shareholders

Note 2) Date of the 2021 annual general meeting of shareholders

Note 3) Date of the 2022 annual general meeting of shareholders

Note 4) Common shares owned are as of the date of submission of this report

Note 5) Common shares owned by executives exclude shares owned through the Employee Stock Ownership Association.

2.	Employee Status

As of June 30, 2020

(units: persons, millions of Won)

Number of Employees

Average
Tenure

Total
Compensation

Average
Compensation
Per Person

Note

Regular

Contract

Total

(Short time
worker)

Total

(Short time
worker)

Total

141

—

172

13 months

(15 years

2 months)

13,455

—

Note 1) 49 employees concurrently employed by affiliated companies are excluded

Note 2) Average tenure: term in ( ) includes tenure at affiliated companies

Note 3) Contract employees include non-registered executives

3.	Directors’ Compensation


As of June 30, 2020			(units: persons, millions of Won)
Items	Number of Persons		Total Compensation		Average Compensation Per Director		Note
Registered Directors (excludes outside directors and audit committee members)		3		816		272		—
Outside Directors (excludes audit committee members)		3		87		29		—
Audit Committee Members		3		84		28		—
Auditor		—		—		—		—

Note 1) Registered directors and audit committee members include uncompensated directors

Note 2) Only the compensation amount paid by Woori Financial Group is included for the three executives concurrently employed by Woori Bank

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.


	Woori Financial Group Inc.
	(Registrant)

Date: August 14, 2020	By:	/s/ Kyong-Hoon Park
	(Signature)
	Name: Kyong-Hoon Park
	Title: Deputy President